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Firms should aim for 'economies of scale' during sales negotiations

Companies can save costs by purchasing a higher volume of goods

26 August 2010

Companies should aim to achieve economies of scale during sales negotiations, according to an expert.

Many firms may enter business negotiations looking to purchase or sell a set volume of goods but cost savings can be achieved by adjusting the amount of units involved in the deal.

Dr Jim Anderson, a professional sales negotiator, expressed his belief that businesses could reduce the overall cost of a deal by purchasing more goods.

He wrote on "Smart negotiators know that by changing the amount that you are either willing to sell or to buy, you can often change the price.

"In the end, it's the total value of the deal, not the price of an individual item that really counts. Plan to play around with your quantities and see if this can lead to a win-win [scenario]."

Dr Anderson also claimed that negotiators should not have "tunnel vision" and consider any other additional opportunities or items which could be included in the deal. 

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